TOKYO, Aug 5 (Reuters) - Japanese government bond (JGB) yields sank on Monday, after their U.S. peers slipped as a softer-than-expected jobs report boosted recession fears and bets that the Federal Reserve will aggressively cut interest rates.
The 10-year JGB yield dropped as low as 0.785%, a level not seen since April 9, and was last down 13.5 basis points at 0.82%.
Benchmark 10-year JGB futures rose 1.68 yen to 145.48 yen, after jumping over 2 yen higher compared with the previous session to trigger a temporary circuit breaker.
The drop in yields comes alongside another sharp slide in Japanese equities. The Nikkei briefly fell over 7% during morning trading. (Reporting by Brigid Riley; Editing by Jacqueline Wong)
